Money Market better than Savings Account ?

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Money market mutual fund is a low risk mutual fund. Investors can invest in money market for short run cash needs. Money market fund only invests in highly liquid cash and cash equivalent securities, which have high ratings.

The primary purpose of a money market mutual fund is to provide investors a safe medium through which they can invest easily using smaller investment amounts. Money market funds invest primarily in debt-based securities having short term of maturity of less than 13 months and offer high liquidity with very low level of risk.

Money market fund issues units/shares to investors at the time of purchase. It is mandatory to follow the instructions or the guidelines, which are drafted by the local regulator, like the Security and Exchange Commission. Extra income can come in the form of interest received on the portfolio.


Money market funds in Pakistan performance Year-19 so far.

Convention Money Market Funds (Annualized Return)


Shariah Compliant Money Market (Annualized Return)



So we can see for it's been only second quarter of this financial year and these funds are performing better than saving account and this annual return is expected to reach to 8-10%.

Furthermore profit is paid on daily basis. 
So if you've invested 100,000 Rs in Js cash fund on Dec 17, 18. 
You'd have earned (100000* 0.0914)/365 = 25 Rupees in one day.

Also risk in money market is almost next to nothing and is here is why I said that. Below is the performance of all the Conventional funds in last 10 years.


So you can see even during 2008 crisis these funds provided good returns. Over the period of 10 years your amount invested in MCB's Pakistan Cash management fund would have grown 151% and risk is also very low.

Want to start saving, now? 
Sign up here : 
or you can signup with with HBL,Js etc

for Shariah complaint follow the link below

and start saing with as little amount as 500 and no lock in period no worries cash your amount anytime.


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